Revitalizing Kosovo’s Tourism Sector Through Systemic Innovation 

Just 12 years ago, Kosovo’s tourism potential was largely untapped. Despite its rich cultural heritage and pristine natural landscapes, the country lacked the structured offers, enabling environment, and professional coordination that attract investors. Today, the narrative has shifted, and Swisscontact’s Promoting Private Sector Employment (PPSE) project, funded by the Swiss Agency for Development and Cooperation (SDC), has played a central role in this transformation.

A systemic entry point: enabling public-private coordination

Rather than focusing on short-term promotion or isolated services, PPSE took a systems approach. It identified coordination failures as the root constraint: local governments lacked tourism planning tools, private providers were disconnected from market trends, and national-level policies were outdated or missing.

PPSE’s facilitation role focused on improving the enabling environment. The project worked with the Ministry of Industry, Entrepreneurship and Trade (MIET), local municipalities, and sector associations to support:

• The development and approval of the Law on Tourism
• The formulation of a National Tourism Strategy
• Over 15 Municipal Destination Development Plans, co-created with communities and private stakeholders
• Capacity building programs for local governments on planning, coordination, and monitoring

Stimulating inclusive private sector growth

PPSE activated the market by supporting adventure and cultural tourism products co-developed by public and private actors. This included:

• Via Ferrata and rock climbing zones in Peja and Zubin Potok
• Via Dinarica hiking route and ski touring in the Sharr Mountains
• Gastronomic routes, festivals, and themed tourism experiences

Local businesses were supported to upgrade their services, receive training, and access co-financing. Over the years, more than 800 SMEs and service providers, many of them women-led or rural-based, benefited from tailored support. More than 5,500 jobs were created or improved.

The project also catalyzed the establishment of new institutions such as GuideKS, a certified guide network that now plays a central role in delivering quality services across the country.

Policy alignment and long-term sustainability

Swisscontact’s approach ensured that tourism development was integrated into institutional planning and aligned with national development strategies. Key achievements in the policy arena included:

• Adoption of administrative instructions on tourism safety and guide licensing
• Inclusion of tourism in national and municipal economic planning
• Strengthening of MIET’s capacity to monitor sector development

The project was deeply anchored in SDC’s development cooperation principles: local ownership, systemic change, inclusion, and sustainability.

An investment case for the future

As of 2025, Kosovo is no longer a “hidden gem”. It is a structured, investable destination with clear policy backing, growing visitor numbers, and an active private sector. Swisscontact’s legacy lies in the risk reduction, ecosystem activation, and destination structuring it facilitated.

Tourism now accounts for a growing share of Kosovo’s exports and GDP, offering a sustainable and youth-friendly employment source. For investors seeking alignment with ESG goals and regional growth, Kosovo represents an opportunity born not of chance, but of strategic co-creation.